Overview
Representative Work
Activities & Membership
Awards & Recognition
News & Publications
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Overview
Al’s practice focuses on complex corporate reorganizations and restructuring. He has expertise in all areas of commercial, bankruptcy, and creditors’ rights law. He has represented creditors (including a variety of financial institutions) and debtors in bankruptcy proceedings, commercial litigation, and real estate foreclosures before both federal and state courts. He also has extensive experience in the negotiation and documentation of out-of-court workouts and commercial loan transactions.
In recent years, Al has been lead debtor or committee counsel attorney in some of the most significant commercial and business bankruptcy cases filed in Oregon and Southwest Washington.
Al began his legal career as an associate attorney with Russell, Ward, Hodgkins & Heaney in Grand Rapids, Michigan. He became Vice President, Assistant General Counsel and Supervisor of the Litigation Division of Orbanco Financial Services Corporation’s Legal Department in Portland in 1981. He joined Tonkon Torp in 1984, becoming a partner in 1986. Al enjoys skiing and bicycling.
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Get To Know
Al began his legal career as an associate attorney with Russell, Ward, Hodgkins & Heaney in Grand Rapids, Michigan. He became Vice President, Assistant General Counsel and Supervisor of the Litigation Division of Orbanco Financial Services Corporation’s Legal Department in Portland, in 1981. He joined Tonkon Torp in 1984, becoming a partner in 1986. Al enjoys skiing and bicycling.
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Featured Representative Matters
In re Stayton SW Assisted Living, LLC
(the Consolidated Sunwest Related Entities) — (Bankr. D. Or.) Tonkon represented debtor, Stayton SW Assisted Living, L.L.C., and over 700 substantially consolidated affiliates, in a Chapter 11 proceeding that resulted in a confirmed Plan of Reorganization. The biggest and most complex bankruptcy case ever filed in Oregon, the consolidation, restructuring and $1.2 billion sale involving over 700 Sunwest entities demanded legal expertise in bankruptcy, securities, tax, real estate, corporate governance, litigation, mergers and acquisitions, regulated industries, and commercial transactions. Al Kennedy and Tim Conway worked with a team of Tonkon lawyers and paralegals who developed and executed a complex resolution that restructured obligations owing to over 90 secured lenders, sold 146 senior living facilities (including approximately 1,200 tenant-in-common interests held by investors), and resulted in distributions to creditors and investors exceeding 100% of their claims.
In re C & K Market, Inc.
(Bankr. D. Or.)—Headquartered in Brookings, Oregon, C & K Market is an independently-owned grocery store chain located primarily in small communities in southern and central Oregon and northern California. Tonkon Torp represented the company in its Chapter 11 case, which recapitalized the company through a debt-for-equity exchange and enabled the company to emerge with a strong balance sheet and solid earnings. During the seven-month reorganization, the company sold its 15 pharmacy operations, sold or closed 20 of its original 60 grocery stores, and refinanced its secured debt. A team comprised of bankruptcy lawyers Al Kennedy, Mike Fletcher, and Ava Schoen led extensive negotiations with the grocer’s secured and unsecured creditors to ensure the uninterrupted support of trade creditors, manage PACA liabilities, and confirm and implement the plan.
In re Williams, Love, O'Leary & Powers, P.C.
(Bankr. D. Or.) — Williams, Love, O'Leary & Powers, P.C. ("WLOP") is a nationally recognized plaintiffs' medical products liability firm that represents clients who suffer injuries caused by dangerous or defective medical products. Tonkon represented WLOP in its Chapter 11 case, which resulted in a confirmed Plan of Reorganization through which all creditors were paid in full and the firm emerged viable and recapitalized. We believe this is the only law firm Chapter 11 in the United States in which the firm emerged intact as an operating firm continuing to serve its clients.
In re Total Mechanical, Inc.
(Bankr. D. Or.) — Total Mechanical, Inc. is a design-build mechanical contractor. When a large judgment was entered against it, Total Mechanical turned to Tonkon to file a Chapter 11 case on its behalf. Within 10 weeks of the filing of its bankruptcy case, the judgment was settled, Total Mechanical was recapitalized, and the bankruptcy case was dismissed.
In re Roman Catholic Archbishop of Portland
(Bankr. D. Or.) — On behalf of the Tort Claimants' Committee, Al Kennedy led a team of Tonkon lawyers in the first-ever bankruptcy filing by a Catholic Archdiocese. Tonkon successfully navigated numerous issues of first impression arising from the intersection of real estate, corporate, constitutional, bankruptcy, charitable trust, and religious institutions law. All claimants were paid in full, with interest, after each claim was individually mediated.
In re Beall Corporation
(Bankr. D. Or.) — Beall Corporation manufactured truck tanks and trailers at multiple factories, and operated sales and service branches across the western United States. Tonkon represented Beall in its Chapter 11 case. The company's divisions were sold as going concerns to four different purchasers and a Plan of Liquidation is scheduled for confirmation in September of 2013.
In re HemCon Medical Technologies, Inc.
(Bankr. D. Or.) — HemCon Medical Technologies, Inc. develops, manufactures, and sells a line of wound care products throughout the world. When faced with a disastrous patent infringement judgment, HemCon turned to Tonkon to represent it in its Chapter 11 bankruptcy case. Through its bankruptcy case, HemCon was able to sell certain non-core product lines, attract new equity investment, restructure its secured and unsecured debt, including the judgment debt, and emerge from bankruptcy as a viable, operating, recapitalized business.
In re Western Communications, Inc.
(Bankr. D. Or.) — Western Communications, Inc. owns eight newspapers, including the Bend Bulletin, La Grande Observer, Baker City Herald, Redwood Spokesman, Curry Coastal Pilot, Central Oregon Nickel Ads, Daily Triplicate, and Sonora Union Democrat. Tonkon represented the company in its Chapter 11 case, through which the company restructured its debts and emerged within nine months.
In re Don J. Simplot
(Bankr. D. Id.) — Don J. Simplot is the oldest son of the legendary J. R. Simplot of Idaho. The principal assets in Mr. Simplot's case were his partnership interests in DJS Properties, L.P., a limited partnership he formed with his children and grandchildren. Tonkon successfully represented DJS Properties L.P. in defending against the efforts of the bankruptcy estate representative to force a dissolution and liquidation of the partnership and its assets.
In re Society of Jesus, Oregon Province
(Bankr. D. Or.) — Tonkon represented Seattle University in defending against efforts by the Claimants' Committee to consolidate the assets of the University into the bankruptcy estate. All claims against Seattle University were waived and released without payment or contribution by the University.
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Featured Work
Tonkon Torp Leads Oregon Grocery Chain Out of Bankruptcy
In one of the quickest and most successful conclusions of a grocery chain bankruptcy proceeding, Tonkon Torp secured court approval of a reorganization plan for C&K Market, Inc., to emerge from Chapter 11 bankruptcy just seven months after filing. Find details and more featured cases here.
"Local Firm Snags Megadeal: Case Doesn't Faze Midsize Law Office"
Tonkon Torp is featured in an article in the April 2011 issue of the ABA Journal. The firm's work on the Sunwest bankruptcy case is the topic of the story, which discusses our representation of Clyde Hamstreet, the Chief Restructuring Officer for the case. The Sunwest bankruptcy concluded with a $1.2 billion deal, which was the culmination of one of the biggest and most complex bankruptcy cases of its kind ever filed in Oregon.
Untangling the Sunwest Bankruptcy
In August 2010, Blackstone Real Estate Advisors closed a $1.2 billion deal to acquire 134 senior living properties from bankrupt Oregon-based Sunwest Management, formerly the country's fourth largest (and largest privately-held) senior living operator. Tonkon Torp represented the Chief Restructuring Officer of Sunwest in this deal, which was the culmination of one of the biggest and most complex bankruptcy cases of its kind ever filed in Oregon.
Roman Catholic Archdiocese of Portland Bankruptcy
The Archdiocese of Portland made national headlines when it became the first Archdiocese to seek bankruptcy protection, triggered by several hundred claims for damages stemming from allegations of abuse at the hands of clergy. Tonkon Torp is playing a central role.
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Professional Memberships
Multnomah Bar Association
Turnaround Management Association
Turnaround Management Association
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Awards & Recognitions
The Best Lawyers in America
2012, Lawyer of the Year - Litigation: Bankruptcy, Portland
2011, Lawyer of the Year - Bankruptcy & Creditor Debtor Rights / Insolvency and Reorganization Law, Portland
1989-2018, Bankruptcy & Creditor Debtor Rights Law
2014-2018, Bet-the-Company Litigation
2012-2018, Litigation: Bankruptcy
2011, Lawyer of the Year - Bankruptcy & Creditor Debtor Rights / Insolvency and Reorganization Law, Portland
1989-2018, Bankruptcy & Creditor Debtor Rights Law
2014-2018, Bet-the-Company Litigation
2012-2018, Litigation: Bankruptcy
Martindale-Hubbell
AV Preeminent
Super Lawyers
2016, Top 10 Oregon Super Lawyers
2012–2015, Top 50 Oregon Super Lawyers
2017, Top 50 Oregon Super Lawyers
2006–2017, Oregon Super Lawyer - Business Bankruptcy
2012–2015, Top 50 Oregon Super Lawyers
2017, Top 50 Oregon Super Lawyers
2006–2017, Oregon Super Lawyer - Business Bankruptcy
Turnaround Management Association
2011, Large Company Turnaround Transaction of the Year
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Recent News
8.16.2017
Best Lawyers in America® Names 49 Tonkon Torp Attorneys to 2018 List
Forty-nine Tonkon Torp lawyers representing 39 practice areas have been selected for inclusion in The Best Lawyers in America® 2018. Nearly all attorneys have been named to the list in past years, and have been recognized for more than five years…
7.11.2017
28 Tonkon Torp Attorneys Honored on 2017 Super Lawyers Lists
The national attorney rating service Super Lawyers has named 28 Tonkon Torp attorneys in 10 practice areas to its 2017 Super Lawyers and Rising Stars lists for Oregon. The annual Super Lawyers list represents the top 5 percent of attorneys in Oregon…
4.19.2017
Al Kennedy Discusses Insurance in Bankruptcy at NW Bankruptcy Institute
On April 7, Tonkon Torp bankruptcy attorney Albert Kennedy was a panelist at the 30th Annual NW Bankruptcy Institute. The event, held in Vancouver, WA, was co-sponsored by the Oregon State Bar Debtor-Creditor Section and the Washington State Bar…
8.15.2016
Best Lawyers in America® Names 44 Tonkon Torp Attorneys to 2017 List
Forty-four Tonkon Torp lawyers representing 38 practice areas have been selected for inclusion in The Best Lawyers in America® 2017. Each attorney has been named to the list in past years, and nearly all have been recognized for more than five years…
7.11.2016
28 Tonkon Torp Attorneys Honored on 2016 Super Lawyers Lists
Twenty-eight Tonkon Torp attorneys in ten practice areas are named on the national 2016 Super Lawyers or Rising Stars lists. Super Lawyers are selected through a process that identifies outstanding lawyers in dozens of practice areas. Factors…
8.18.2015
45 Tonkon Torp Attorneys Named Best Lawyers in America® 2016
Forty-five Tonkon Torp lawyers representing 39 practice areas have been selected for inclusion in The Best Lawyers in America® 2016. All of them have been named to the list at least once before, and many of them have been recognized for a number of…
7.23.2015
2015 Super Lawyers Honors 23 Tonkon Torp Attorneys
Twenty-three Tonkon Torp attorneys in nine practice areas are named on the national 2015 Super Lawyers or Rising Stars lists. Two partners are recognized on the Oregon Top 50 list, lawyers rated most highly by their peers statewide.
8.20.2014
Best Lawyers in America® 2015 Names 49 Tonkon Torp Attorneys to Prestigious List
Forty-nine Tonkon Torp lawyers representing 40 practice areas have been selected for inclusion in The Best Lawyers in America® 2015. All of them have been named to the list at least once before, and many of them have been recognized for a number of…
7.9.2014
2014 Super Lawyers Honors 23 Tonkon Torp Attorneys
Twenty-three Tonkon Torp attorneys in 11 practice areas have been named to the national 2014 Super Lawyers or Rising Stars lists, including three partners who are recognized on the Oregon Top 50 list, lawyers rated most highly by their peers…
7.1.2014
Al Kennedy Discusses Archdiocese Bankruptcy Case Issues
Tonkon Torp bankruptcy attorney Albert Kennedy was a panelist at a recent presentation on the precedent-setting Portland Archdiocese bankruptcy cases that were adjudicated in 2007. The event was hosted by the U.S. District Court of Oregon Historical…
8.15.2013
50 Tonkon Torp Attorneys Named to Best Lawyers in America® 2014
Fifty Tonkon Torp lawyers representing 42 practice areas were selected for inclusion in The Best Lawyers in America® 2014. “We are honored to have more than half of the firm’s partners recognized by the larger legal community for their legal talent…
7.17.2013
2013 Super Lawyers Honors 20 Tonkon Torp Attorneys
Twenty Tonkon Torp attorneys have been named to the national 2013 Super Lawyers or Rising Stars lists, including two senior partners who are recognized on the Oregon Top 50 list, lawyers rated most highly by their peers statewide.
11.2.2012
Al Kennedy Speaks at Two Professional Events on Bankruptcy Issues
Tonkon Torp bankruptcy attorney Albert Kennedy was a panelist at two recent professional conferences.
9.21.2012
Al Kennedy Offers Perspective on Sunwest Management Bankruptcy at Oregon State Bar Event
Tonkon Torp bankruptcy attorney Albert Kennedy was one of a number of panelists at a September 19 Oregon State Bar continuing legal education event focused on one of Oregon's most complex bankruptcy cases.
8.29.2012
Best Lawyers in America® Names 50 Tonkon Torp Attorneys to 2013 List
Lawyers from Tonkon Torp LLP continue to earn the high regard and professional respect of their peers and litigation adversaries. This year, 50 Tonkon Torp lawyers - well more than half of the firm's partners - were selected by their peers for…
7.18.2012
Twenty Tonkon Torp Attorneys Named to 2012 Super Lawyers and Rising Stars Lists
Twenty attorneys at Tonkon Torp LLP have been named to the national 2012 Super Lawyers and Rising Stars lists, including two senior partners who are recognized on the Oregon Top 50 list, lawyers rated most highly by their peers statewide.
3.19.2012
Sunwest Management Bankruptcy Case is Topic of Forum Discussion
Tonkon Torp bankruptcy attorney Albert N. Kennedy shared his experience and perspective about one of Oregon's biggest and most complex bankruptcy cases at a March 16, 2012 event hosted by Lewis & Clark Law School. The event featured Kennedy and other…
10.28.2011
Al Kennedy Presents on Bankruptcy Trusts
Al Kennedy was a featured speaker at a recent program hosted by the Turnaround Management Association. The topic of his presentation was "Bankruptcy Trusts: One Size Does Not Fit All."
10.25.2011
Tonkon Torp Attorneys Named 2012 Portland Lawyer of the Year in Three Practice Specialties
Best Lawyers' 2012 Lawyers of the Year has named three partners from Tonkon Torp LLP as Portland Best Lawyer of the Year for their particular specialties. Albert N. Kennedy was recognized as Litigation - Bankruptcy Lawyer of the Year. Michael M…
10.13.2011
Tonkon Torp Lawyers Honored for Sunwest Turnaround
Tonkon Torp attorneys Albert N. Kennedy and Kenneth D. Stephens will be honored later this month for their work on the turnaround of Sunwest Management Inc., the Salem, Oregon-based company that was at one time the fourth largest senior housing…
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Publications & Presentations
Al is a frequent speaker on bankruptcy and is the author of numerous articles on bankruptcy-related topics. He is the author of Chapter 16, Development, Confirmation, and Consummation of Chapter 11 Plans, 2 Oregon Law (Oregon CLE: 1999) and the 2007 Supplement
"Insurance in Bankruptcy: Asset, Liability or Both?" 30th Annual Northwest Bankruptcy Institute, 2017
"Bankruptcy in the Cathedral," Federal Bar Association – Oregon, 2014
"Challenges in Retail Restructurings: Landlords, Liquidations, Lender Concerns and other Issues," TMA's Thirteenth Annual Northwest Cross-Border Conference, 2012
"Forum Shopping and the Venue Market Failure in Bankruptcy," Oregon State Bar Debtor-Creditor
Section CLE and Annual Meeting, 2012
"The State of Corporate Reorganization," Lewis & Clark Law School Business Law Roundtable, 2012
"Strategies for Valuation in Bankruptcy," 2011 Oregon State Bar Debtor-Creditor Section CLE and Annual Meeting
"Bankruptcy Trusts: One Size Does Not Fit All," Turnaround Management Association, 2011
"Reorganization v. Liquidation in Chapter 11 Cases," 24th Annual Northwest Bankruptcy Institute, 2011
"Bankruptcy and the Secured Creditor," Lorman Education Services, 2008
"Dates, Deadlines and Avoiding Pitfalls in Business Bankruptcies," 21st Annual Northwest Bankruptcy Institute, 2008
"Fiduciary Obligations in the Vicinity of Insolvency," The Seminar Group, The Best of CLE, 2008
"Loan Workout and Collateral Liquidation," Lorman Education Services, 2008
"The Wheel of Misfortune," 19th Annual Northwest Bankruptcy Institute, 2006
"Commercial and Real Estate Loan Documents in Oregon," Lorman Education Services, 2004
"Real World Evidence," 17th Annual Northwest Bankruptcy Institute, 2004
"Receiverships v. Bankruptcies," Turnaround Management Association, 2004
"Contested Chapter 11 Plan Hearings," Oregon State Bar Debtor-Creditor Section CLE, 2004